The present invention relates to an illusion apparatus and method using same. More particularly, this invention relates to a unique background display for an illusion apparatus and method for creating an illusion wherein a pre-recorded bright image on a dark background is made to appear to be inserted within the environment of the viewer. My prior U.S. Pat. No. 4,971,312, Illusion Apparatus, discloses an optical element used in conjunction with printed matter, diorama, video, or other display means. In that patent, a dark area in the display is provided to receive the viewer's image. The present invention provides an improved display and also provides a unique format to enhance the effect provided by my prior invention.